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Need for the programs
This chapter summarizes the major findings of our review regarding:
- The perceived need for the program amongst the representatives surveyed; and
- The fit of the program with the priorities of the organizations involved and other resources in the community.
Perceived need for the programs
The major findings of our review regarding the perceived need for the program are as follows:
1. It is widely recognized amongst those surveyed that there is a significant need for this type of program.
The representatives whom we surveyed during the course of the study were asked to rate the need for the program on a scale of 1 to 5, where 1 is not need at all, 3 is somewhat of a need and 5 is a major need. The average rating varied from 4.5 amongst the clients surveyed to 3.6 amongst representatives from the delivery agencies as indicated below.
The perceived need for the programs reflects that:
- Self-employment can represent an important alternative for people with disabilities. Nevertheless, self-employment rates are very low amongst people with disabilities In Canada, only about 3% of residents with disabilities are self-employed compared to 14% of those without disabilities.
- The target group is potentially very large. The number of people with disabilities in Canada is, according to the Participation and Activity Limitation Survey 2001 (PALS), reported at a rate of 12.4 percent, or 3.6 million Canadians. Among aboriginal people the disability rate is even higher and is reported to be 30 percent.
The results of the PALS survey regarding the types of disabilities that people face are summarized below:
- Entrepreneurs with disabilities can face significant barriers. The barriers to entrepreneurship most commonly identified by the representatives we surveyed included:
- Access to capital is more limited. Entrepreneurs with disabilities tend to have less capital of their own and financial institutions are much less likely to lend to them;
- There is a lack of business sector and marketplace understanding of disability;
- Entrepreneurs with disabilities may lack self-esteem and self-confidence;
- Small business development programs are not tailored to needs of entrepreneurs with disabilities;
- Access to information is more restricted;
- Potential entrepreneurs often lack the business experience, skills or resources necessary to develop their business ideas on their own;
- Physical demands of the disability and related costs can place limitations of the opportunities open to them;
- Starting up a business can result in a loss of income or benefits (e.g. loss of coverage for medical costs) for people with disabilities; and
- There are transportation and access issues, particularly in smaller centers.
- Enabling entrepreneurs with disabilities to develop businesses can benefit the economy.
Examples of additional barriers that we identified in our literature review include:
- There is often a limited focus on self-employment amongst disability organizations providing employment services;
- Public policies, including income security and policies concerning part time work, can act as a disincentive;
- Access to technology can be more limited; and
- There are fewer role models and it can be more difficult to develop business network connections.
2. Across the delivery agencies, the perceived need for the program tended to be higher amongst organizations delivering the UEDI (an average rating of 4.3) than amongst CFDCs (average rating of 3.4).
Many of the CFDCs indicated that demand for EDP services has not been high in their region and the many entrepreneurs with disabilities would be eligible to receive essentially the same services through the general loan fund as they receive through the EDP.
3. Over 60% of the stakeholders surveyed believe that the need for this type of programming has increased over time.
Factors that contribute to the increasing need include:
- The increasing awareness of disability issues;
- The Increasing awareness of the option for entrepreneurship and self-employment; and
- The increasing rate of disability as the population ages.
The results of the PALS survey illustrates how the percentage of the population with disabilities increases as the population ages. The rate of disability increases from 3% of the population for people aged 14 years or younger to 41% for people aged 65 years or more as indicated in the chart.
Fit with organizational priorities and other resources
The major findings of our review between the fit of the program with priorities of the organizations involved as well as other resources in the community are as follows:
1. EDP and UEDI support the commitment of the Federal Government to help reduce barriers and increase employment opportunities for Canadians with disabilities.
The EDP and UEDI were created in response to the Federal Task Force on Disabilities, which identified employment as a major issue for persons with disabilities and a leading cause of the relatively high incidence of poverty. These concerns continue. The labour force participation rate of adults with disabilities was 46% in 2001 (including people who were employed as well as those who were unemployed but looking for work) as compared to 79% for those persons without disabilities. Only 42% of adults with disabilities were employed in 2001 as compared to 74% of adults without disabilities. The median income of adults with disabilities was $15,921 in 2001 as compared to $24,000 for adults without disabilities.
The Task Force recommended that changes be made to ensure that existing programs are inclusive for those with disabilities and that new programming be developed to address key barriers that have constrained people with disabilities from participating equally in the economy. EDP and UEDI create employment opportunities for persons with disabilities by facilitating self-employment and supporting entrepreneurship. The programs are also consistent with WD’s focus on entrepreneurship and sustainable communities.
2. Fifty-seven percent of the delivery agencies indicated that their organization currently places a high priority on the program.
While the commitment to the target group is generally strong across the delivery agencies, some of the agencies (particularly some of the CFDCs) indicated that they do not currently place a high priority on the program because:
- In some regions, the demand for services is perceived as very low;
- The program represents only one of a variety of programs delivered by the organization;
- CFDC clients who may be eligible for loans under the EDP loan fund may also be eligible through the general loan fund; and
- No direct funding is available to CFDCs to support the level of precare and aftercare that may be required to serve the target group.
3. Apart from EDP and UEDI, there is little other programming available that specifically targets entrepreneurs with disabilities.
Twenty-three percent of clients and 50% of the stakeholders were aware of other programs and services in the community that could assist entrepreneurs with disabilities. In general, the programs are much more limited in scope than the EDP and UEDI with respect to the assistance that they can provide. It was noted that most programs targeted specifically at people with disabilities are employment programs rather than entrepreneurship programs while most programs targeted at entrepreneurs are not tailored to the needs of entrepreneurs with disabilities. A profile of other programs that were identified in Western Canada as well as in other regions is provided in Appendix V. The delivery agencies for EDP and UEDI have developed relationships with many of the other resources that are available such as the Opportunities Fund, Opportunity Works, and SEED Winnipeg.